ECONOMIC INTELLIGENCE COMMITTEE Minutes of Meeting held in Director's Conference Room, Administration Building 2430 E Street, N.W. 25 October 1951

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82-00283R000100180007-1
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 24
• Document Creation Date: November 9, 2016
• Document Release Date: July 21, 1998
• Sequence Number: 7
• Publication Date: November 5, 1957
• Content Type: MIN

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EIC-M.. r
5 Novemberi
ECONOMIC INTELLIGENCE COL TTEE
Minutes of !eetin held in
Director's Co erenc'e toow, Administration Building
-E Stree , N.W:.
247 25 October 1951
25X1A9a
Dr. Max F. 14illikan, CIA, Chairman
Mr. Henry Brodie, State
Mr. Howard 7iedemann, State
Lt. Colonel. George B. Russell, Army
Cdr. Donald C. Deane, Navy
Dr. James T. Lowe, Air Force
Dr. Joseph Coker, Air Force
Mr. John !~aston, JCS
Mr. 0. V. dells, Agriculture
Mr. Emil E. Schnellbacher, Corsnerce
Mr. Henry Caufield, Jr., Interior
, CIA, Secretary
CIA
APPROVAL OF LINUTES
1. Action: The minutes of the Economic Intelligence Committee
meeting of Sep
Tr" 1951 (EIC-L-.6) were approved,
REPORT ON PROGRESS cF SUBCOLI:ITTEES
2. Action: It was agreed that the Petroleum Intelligence Advisory
Group should "be asked to review the final draft of the petroleum sections
of IIIL-L0, with particular reference to the petroleum situation in Western
Europe.
3. The EIC agreed to hold a meeting about the middle of November
to review the 'substance of NI"O and to consider tiie effectiveness of'
the working group procedure in handling this estimate,
1, The Working Group on the .economy of western Europe will be'
asked,to make recommendations to the EIC as to the ways in which the
various economic sections contributed to NIL-LO might best be published. ~
co ~~
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5. Discussion: Mr, Dees, Chairman of the Petroleum Subcommittee,
reviewed ie1 acco plishments and progrme of his Subcommittee. He
emphasized that they are currently reviewing government programs in the
petroleum field and are making an effort to determine what major gaps
exist, particularly as these gaps relate to the Soviet Bloc. Recommenda-
tions will be made to the EIC in the near future as to the beat method of
filling these gaps. Mr. Dees also discussed the first meeting of the
Petroleum Intelligence Advisory Group which met on 15 October 1951. In
connection with this Group, Lr. Lillikan suggested that a copy of the
finished draft of the petroleum section of PAS O might be presented to
the PIAG for review and comment, W. C auf iold of the Department ' of - the
Interior suggested that it might be appropriate for Mr. Barton of the
Department of the Interior to serve as a :aezaber of the Petroleum Subcom-
mittee 25X1 A9a
6.' briefly reviewed the progress on liIE-40 and indicated
that,, although some contributions were late, the work generally was pro-
gressing on schedule. also suggested that the forking Group 25X1 A9a
make recommendations about publication of the agency contributions to
NIE-400
7. Dr. Millikan indicated that Dr, Michael, Chairman of the,
Subcommittee on Agriculture, would speak to the Economic Intelligence
Committee at its next meeting.
DISCUSSION OF SUBCO:.l.:ITPEE TERL.:S OF RWMMCE
8. Action: Terms of reference for all existing subcommittees
were distW to the EIC members prior to the meeting and it was
agreed that, with certain minor changes, they were satisfactory to the
EIC. In view of the fact that Mr. Kullgren, Army, had not had a chance
to review those terms of reference, it was agreed that they should be
submitted to him by the Secretary and, if acceptable to Ir. Kullgren,
should be passed on'to the ;zbcomaittee chairmen in their approved
amended form with the follo'ring explanation:
a. That the paragraph beginning "Cooperate with the Subcom-
mittee on Requirements and Facilities for Collation in: (1)-indexing
of literature, * * silt found in the terms of reference for the
Transportation, Petroleum, and Agriculture Subcommittees could be
deleted or retained at the discretion of the subcommittees concerned.
b. That any minor caodifications of these terms of reference
could be made by the subcommittee without the prior approval of
the EIC; although the Secretariat of the EIC should be notified of
any such changes.,
co That individual subcommittees, in surveying their particular
field of interest, or in identifying gaps, should advise the EIC of
the subjects within their particular fields that have been covered
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5 November, 1951
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9. It was the sense of the meeting that 1.:r, i`J iedemann r s draft.
proposal for more standard and explicit terms of reference be reviewed
by the EIC representatives and the chairmen of the various subcommittees.
Comments were to be submitted to the Secretary of the EIC before the
next meeting.
10. Discussion: Commander Deane, Navy, suggested that the following
paragraph be substituted for paragraph C 2 of the Transportation Subcom-
mittee terms of reference: "Affect mutual liaison as necessary on intelli-
gence which is now available or which is scheduled for production within
the various government agencies and by external research sources." Commander
Deane, Navy, also suggested that the following paragraph be auded as point
5 under E in the same terms of reference: "Reduce wherever. practicable
duplication of effort in the transportation intelligence field.. Both of
these suggestions were approved by the EIC with the exception of Army.
Mr, Kullgren v.-Ill be asked to co went on these suggested changes when he
reviews the terms of reference.
11. Mr. 'Riedemann, State, prepared and submitted for EIC consideration
a sample terms of reference which he felt described more explicitly the
functions of the subcommittees and which, if adopted by the EIC as a model
form, would provide greater uniformity for subcommittee terms of reference.
If Mr, 1iedemann's proposal is accepted, it was generally agreed that it
might serve as a guide for future subcommittees, including the Chemicals
Subcommittee just established, and might in addition be considered for
adoption by those subcommittees alrea..y in existence if at some future
date they decide to revise the terns of reference approved by the EIC at
this meeting,
DISCUSSION OF SUBCOLa ITTEE 014 CI.EEICALS
12, Action: The EIC agreed to establish a Subcommittee on Chemicals.
A list of -n==ations to '0 Subcommittee was distributed to the EIC
members,
13. In the absence of nominations for Chairman of the Subcommittee
on Chemicals from the other agencies, CIA proposed Colonel 17, Hepburn
Chamberlain and presented his Curriculum Vitae for consideration by the
EIC members. :embers were asked to contact the Secretary of the EIC
within the next week to indicate their acceptance of Colonel Chamberlain
as Chairman or to nominate some other person to head this Subcommittee.
314, Discussion: It was generally agreed that in line with the
practice f o own by other subcommittees, the Chemical subcommittee would
propose a list of associate members to the EIC for approval,,
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5 November 1951
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PROPOSAL FOR A WORKING GROUP TO PREPARE THE ECONOMIC SECTION ov NIE-56
15, Action: The EIC representatives were asked to submit their
nominations or this Working Group to the Secretary of the EIC within
one week.
16. Discussion: A draft of the proposed term of reference fcr
NIE-56, "Po,enti nsecurity of Foreign Areas of Strategic Importance
to the US", was distributed at the meeting to the EIC members. Dr.
Liilikan indicated that this was not a final draft but that a draft
similar to this one mould be circulated in the near future by the
Office of National Estimates for consideration by the IAC " agencies. He
further indicated that ONE would ask the EIC to prepare the economic
sections of this estimate.
17. Comanandor Deane, Navy, asked that the allocation of responsibility
for preparation of this paper, once it has been agreed by the EIC Working
Group, be sent from ONE to OUI rather than direct from the Dorking Group
to. ONI. The EIC representatives generally felt that this procedure could
be followed in those cases where it was requested by an EIC representative.
PROPOSAL FOR A WORKING GROUP TO CONSIDER THx, PROPOSED NIE ON "STRATEGIC
T = I C1F FA -T Ti i' w.,.__..~. _....~_. _. - ._~..~.._..._.
.,..
18. Act orn The.EIC agreed that arw agency desiring to have
repro sentat on on this Working Group should coixmanieate'their nomination
to the EIC Secretary within one meek.
19. Discussion: Dr. Millikan explained briefly the background of
the request or s estimate with a general indication of what the
paper might contain. He further indicated that with BIC approval this
estimate should be prepared and production responsibility allocated
through the working group procedures and that the two initial tasks
of this group mould be (1) to review and elaborate on the terms of
reference prepared by ONE and (2) to consider the theoretical, framework
for this estimate.
25X1A9a
ecre ary
Economic Intelligence Committee
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t4U
SUBCOl'AIITTEE ON REQUIl *Ak}TTS AND FACILITIES FOR COIN
OF THE
BCONO24IC INTELLIGENCE COMMITTEE
TE MSS OF REFERENCE
to The membership of the Subcommittee on Requirements and Facilities
for Collation shall consist of (a) not more than two representatives of
each IAC agency, as proposed by agency representatives on the Economic
Intelligence Committee and approved by the Economic Intelligence Committee;
and (b) one representative of each appropriate non-IAC agency, as approved
by the Economic Intelligence Committee.
2. The Chairman of the Subcommittee will be designated by the EIC
and will serve for such period of time as determined by the EIC.
3. The Central Intelligence Agency shall supply the permanent
secretariat.
4. The Subcommittee on Requirements and Facilities for Collation
shall:
a. Recommend to the EIC, in cooperation with the appropriate
subcommittee, priority requirements for the collection
of economic information (including publications and
statistics).
bo Recommend appropriate sources and collection action to fill
such requirements;
c. Recommend measures to ensure systematic and comprehensive
indexing of available literature on the Soviet economy;
d. Recommend measures which ;diU ensure that foreign economic
data which have been collected are syste.natically recorded
and :jade readily available to economic intelligence users;
e. Recommend the establishment, location, scope and functions
of such specialized catalogs, files., machine indices or
resisters as may be desirable for economic intelligence
purposes;
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Terms of Reference
f. Make recommendations to the EIC on any matter relating to
the collections recording and availability of economic
information.
5. The Subcommittee shall meet as frequently as necessary to
carry out its responsibilities.
6. The Subcommittee may set up such working groups as may be
necessary*
7. The Subcommittee may request the attendance of nonmembers
as consultants when matters on the agenda make the presence of techni-
cally qualified experts desirable.
8. Reports and recommendations which have been approved by a
majority vote of the Subcommittee may be transmitted to the EIC (one
vote per member organization or agency), but in case of dissent, the
reports and recommendations must be accompanied by an appropriate
statement advising the EIC of such dissent.
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;rrr ;NFOR
TEEUd8 OF iEFIItE:'iCE FOR THE PETftOLEt7t~~d SUBCOMMITTEE
^1 ~111.tl. 1~ rr r wfw T~.
OF THE ECONOMIC INTELLIGENCE COM1ITTEE
la The Economic Intelligence Committee has established a Petroleum Sub-
committee on which shall sit representatives of the IAC Agencies as
approved by the Economic Intelligence Committee. Representatives of
other,goverrment agencies may participate as associate members of the
subcommittee. upon approval of the B IC.
2e The Chairman of the Subcommittee shall be designated by the EIC and
shall serve for such period of time as determined by the EIC. The
Central,]. Intelligence Agency shall supply the permanent secretariat.
3. The Petroleum Subcommittee of the EIC ' shall:
a} Arrange concerted economic intelligence support on petroleum
(including synthetics, shale oil, and natural gas) for studies
of interagency interest as approved by the EIC.
b. Examine petroleum economic research programs of the US Government
agencies relating to national security and recommend to the BIC
appropriate allocation of responsibilities.
c. Review the data and analyses on the subject of petroleum
intelligence and advise the EIC in regard to the pertinencer extents,
and quality of the available information.
d. Recommend to the EIC for. appropriate actions, priorities,, and
allocation of responsibility for'the preparation of analyses to
fill major gaps in foreign intelligence relating to petroleum.
e. Recommend to the 's IC, in cooperation with the Subcommittee on
Requirements and Facilities for Collation, priority requirements
for the collection of informatioq on petroleum.
f. Cooperate with the Subcommittee on Requirements and Facilities
for Collation in:,
(1) the indexing of literature on Soviet
petroleum, particularly that available in the US Government;
(2) the processing and collating of data on petroleum in a manner
which will make it readily available to the intelligence community
(machine, indexing etc.); and (3) locating registers (biographic,
industrial, etc.), determining their scope and coverage and rationaliz-
ing their utilization.
g. `Prepare as directed and coordinate economic intelligence reports
or petroleum.
he Make recommendations to the EIC on any matter related to petroleum
economic intelligence.
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SECURITY U969
AGRICULTURAL SUBCOIMITTM
1.
CE
ECONOMIC ]NTELLIGEMCE COZ E
Terms of Reference
Ao The Economic Intelligence Committee., in accordance iLth its terms
of reference set forth in JAG-D-22/l (Revised), 29th May 1951, has established
an Agricultural Subcommittee -"hick comprises designated representatives of
agencies with intelligence responsibilities in the field of foreign agricul-
ture as they relate-to our national security, i.e... Departments of the Air
Force,, States, the Department of Agriculture, the Economic Cooperation Ad-
ministrations, the Munitions Board, and the Central Intelligence Agency.
Representation on this committee may be expanded either from these or other
agencies with the approval of the EIC.
B. The Chairman of the Agricultural Subcommittee shall be selected
by the EIC and the Central Intelligence Agency shall supply the Secretariat.
C. The Agricultural Subcommittee shall maintain a continuing review
of the foreign. economic intelligence in the field 'of agriculture to identify
important'gaps and deficiencies in the collective knowledge of the Government
by:
1. Maintaining a current record of the total intelligence needs
of the US Government in this field; and,
2. Maintaining a current record of such intelligence which is
now available or which is scheduled for production within the various
agencies of the Government.
D. To help Meet the foreign economic intelligence requirements of
US national security as revealed by these gaps and deficiencies, the
Agricultural Subcommittee, shall:
1. Develop project outlines for necessary studies.
2. Recortmnd to the Economic Intelligence Committee the priorities
of the projects and the allocation of projects a:iong Government agencies
with due consideration to available facilities and personnels, or to
outside institutions under the external research program.
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Agricultural
Subcommittee
Terms of Reference
E. The Agricultural Subcommittee shall arrange for the necessary
coordination of such studies as may be allocated among Government agencies
by the Economic Intelligence Committee,
F,, The Agricultural Subcommittee shall recommend to the EIC, in
cooperation with the Subcommittee on Requirements and Facilities for
Collation priority requirements for the collection of information on
agriculture,
G, This Subcommittee shall also cooperate with the Subcommittee on
Requirements and Facilities for Collation ins (1) the indexing of literature
on Soviet agriculture, particularly that available in the US Government"
-
(2) the processing and collating of data on. agriculture in a manner which
will make it readily available to the intelligence community (machine
indexing, etc.); and (3) locating registers (biographic, industrial, etc.),
determining their scope and coverage and rationalizing their utilization.
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liaison as necessary on intelligence which is now
scheduled for production within the various Government
aI research sources, Reduce wherever practicable
in the tren portation intelligence (field.
StCURITY INFO
TRANSPORTATION SUI3COIUITTEE
OF THE
ECONOLIIC INTELLIGENCE COWflTTE
Transportation Subcommittee
Terms of .Reference.
A.' The Economic Intelligence Committee has established a Transportation
Subcommittee on which shall sit representatives of the IAC Agencies as approved
by the economic Intelligence Committee. Representatives of other government
agencies may. participate as associate members of the subcommittee upon ap-
proval of the r,-IC,
B. The EIC shall designate the chairman of the Transportation Sub.
committee and the Central Intelligence Agency shall supply the Secretariat,,
C. The' Transportation Subcommittee shall constantly review foreign
economic intelligence in'the field rf transportation to identify important
gaps and deficiencies in the colU.ective knowledge of the Government,, and
to this.end wilir
1. Review the total transportation intelligence needs of
the US Government;
2. Develop and maintain information on such intelligence which
is now available or which is scheduled for production within the various
Government agencies and by external research sources;
3, Determine inadequacies in existing intelligence coverage; and
D, To help meet the foreign economic intelligence requirements of
US national security as revealed by these gaps and deficiencies, the
Transportation Subcommnittee shall:
1, Select those areas and/or items of inadequate coverage in
the field of Transportation requiring intensive application of the intel-
ligence process, and define the scope of such studies as may. be authorized
by the SIC;
2. Recommend to the EIC the priorities to be established for
studies in specific fields of inquiry,as well as the Government agencies
or private research organizations to which responsibility for the work might
be allocated.
3. Recommend to the EIC in cooperation with the Subcommittee on
AReMM4lf Fac "sp,
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Transportation
Subcommittee
Terms of Reference
L Cooperate with the subcommittee on Requirements and
Facilities for Collation in: (1) the indexing of literature on Soviet
transportation,, particularly that available in the US Government; (2) the
processing and collating of data on transportation in a manner which will
msal1 it readily available to the intelligence ccmmmity (machine indexing,
etc,); and (3) locating registers (biographic, industrial,, etc,), deter-
raining their scope and coverage and rationalizing their utilizations
E, The Transportation Subcommittee shall advise the EIC on trans4
portaticri intelligence matters and in this connection shall:
1, Consider such intelligence problems as are referred to it
by the EIC and recommend appropriate action,
2. Consider and recommend acticn when necessary to the EIC on
intelligence problems raised by any member of the subcommittee.,.
3. Arrange for concerted intelligence support for transportation
research undertakings authorized and allocated by the EIC;
4, Review periodically and report to the EIC an the progress
made on transportation research programs authorized by the EIC,
n r n D 'n rr
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1.
i. The B c Intell3geoe COwcftt f In acoardance with ate
terms of r+mfss NOV sat farth in UC 22A (revised), 29 YAW 1.4518
has establUftd a t~~-BSp mA TIOu )* sntaacmittoo en w h e11. sit
re .eentata of the ILC Agencies as appr by tbe, Smomic I&?
te113gence Com~dtteo.
Be
2, liepreaentat5ves of of r gow nt agebies hay part1ciPat
as associate ire of the 044bogglattae upcm approval of the E3IC
1e The Chairman of the ~,tteo shaC?t be designated by t
SIC and shall serve fca' ouch period of time as det d by the ElC
20 The Csntaal, 3nte33.igenoe Agent shat . mgaply t s pusumt
sec tariato
3o The mittee y set up each uukiilg armip an'
may be
neoe wary to carry Out MW of its assigned ftm*tU=o
.
Mi1TT~6t ~CQPE
C
*1. The Treaspoxtatlen 3ubestsamittt a shs1l be oomicerned with an
prinalml modes of transport (vie, raibcadse 3almsd to as., marl-
tim sipdg, ao~t~ar readai aviattaa mea
m d pipelines) both within and
between fci'eign count'Lee; prizm2tive anodes of tt sport# as well as
urban traa~sportat a stmtll be in t e "stops of the Saba
mitteeoe substauUva 3bdhfties it epeolml problems warrant
their c ei aticc
*2. rev ae h pMimipal mods of -tranport, the 9ta'bcammmittee slaatl
be conamcnsd with all aspects of the subject matter which relate to
the aaaticat l 1ty (s.gd traffics permamt MY0 em s inotir-
: 'tors, etc.,
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w 2
*a. The Transportation SubomAttse shl coopamte, um
other snboc~nmitt.~t; enthblhed 1W the EM -in covering aazy'
aspect at tsanpa tq~ S&qch Is cc , interest to two
W, or@ et1Ua, dtteeB. PrOdneti and fca*eiga trade in
umm.
pOta pont sha-11 be 3noshd?d in the ecope of the Trans.
wt3vo respocalbdlitias vi1 a
p mdtttee 3s: establie~tg,
ab? 1 ,litary aspects at traospoootatioo; slssll be iaa1i in
the subject natter scope at the pcrtatIcn 3utboo?itfi a 3te-
bao~tbey relate to 2qowt 0-1
6t s ball 3g- L auppaa~ of a Uar alpaca but
tsado- #~+s eta. ainot be ' ~respaamible for oav+~ring pr t3sen<
other item of oqudp soot ct an esntia
1. Tho Sub 1ttee Qb&U uslnta3a a oant3muiag review at t
foreign ecc o itatalt3g In the field of (TaA TAT i)e to
0D 9 I. artant gaps end demiencies i n tam collaotive lon ledge
CC the U. S. to and to this end Sha31s
a. Peoriodica]1y BOrMy the tote1 inter igencs needs of the
US vaa.'aemeas in this field and mbr al approprriate reoardG cf
evoh neecla.
be ) )main a atarreant record ct the intcel ~.igeuce In thin
field which is now avaibabla or which is for p cticm
bar., the various ageixiee of the US Gent or t? exterml re?-
aaar-Ah ewes
.
0 lbsamlae the data and apses in the field of
T1TI(13a and advise the EI In regard to t pmrtfaoacee extent
and qsB at the available iut+a11 gem,
20 TJm tteo sharp assist in ?limlaat3ng the gaps is iao-
tal'igenoe in this field 1i3
as Deve2apbW caltUms for paroJeots deelped to pa'av3de the
itntcc7lti~g~eaoe whitoh is lacklM.
be 8~aoae?easdigg to the EIC for approp-late actica i) tip
Tics it of reeesxtc z pare jecte designed to till jeer tear ii) al3ooat3,au at respodefb13.itles am~aog too ciea for t-hA
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preparation or such MWIYs?s with due. oo ticn to awallab1o
of Iii oaond pera~l, and iii) the as t, a
at*# ct xe VgqeDu or 3a tbareOf to ?ntai4e in ituti
.
3. The mattes ,ball adtiae the SM reording the adoquaay
cc inraa~ataoa In the fold of ~7'ATIMP .and in 'Iii caeafrieo-.
tiara shells .
a, Roma esd to the Ems in cooper tIM with the 9ubo-
mitten on Boqu3re nto sad Faatlittea for Cc3intloo
requirements tar the oollectdao cf infwoutiaz on ISE= -,
be Cooperate with the 8nbacmmittee an egidreeeexete and lhgdl ?
# & I ' Catllatj i n i) In1wring l i t e r a t u r e on S o w i s t (MUNMU6
TATIM)es Vwtl rly that available in the lB Co~+erzms ; 33)
mug l OZA ~ioh tcli iaeice such ~ data an (T888~PG~TAT~i)# In a and
'~F (?.8. ~oectiSae sooarda~ acoesslbls tQ the intellyg~eEtt~
mmoam etc,); inn iii.) d ?
the scope, cage and tion of 3ntcr aticon re ter',
e 4 tr'iai Plante, oft,) and ratioemlisdog their utip
liemt3,oo,
d? The SdXm*dttee shad, iten regi*Aed ty the SIC, eoaoditcstm
and arzwW
Eta JA the ftem t ~sQ#g ~ #eupgoa-~ fc such re.
as my be allocated amagg the
T. The 8 ttee abeal assist the EIC in p ai
UUMM assigned to the EIC wMab apply to foreign eciwc
In the field of (TRANSP=TM)a,
s, It shall eacemins flee US acv ernuRat ageemdes t fbodameeo tA1
resesrob in the A CATION)* nedd sting to the Mammal
ssata tIT affi recommend to the EDC foot appropriate action the
aeetioen of r6epaweibd33tges for beeio research in this fie3d0
b* linen directed by the BiG, it lead ppaa~~~~ eeoacoalo ~..
te].1ige?as repoarte in the field of (Z4t3F'Clfl'AT
B, r
1. 'lbe 8e:boae~ttso shall pavwmo min meedbera of the Ei i dLth a
OW ar Be a and e of its p
201 Reports aced reoame,eaedatime Ublah: have been app+oaad by a
3 't ' vote of the Suboca ttee (me vote pa ae~ber aeg Qat3~an or
a W) m7 be tatted to the EIC w3thaut o,=eetto but in com of
t ths ttal =s be bd by an e-t pzlate state rat
advising the, = of such 83e .
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Section C, Rstroleum Suboomndttee
8UIJSCT MTTSB 8001'$
The Petroleum 8ubcoi ittes shall be concerned with crude
oil (inoludiog shale oil), natural gasp refined productso and syn-
thetic liquid fusiso
20 For each commodity or bommodity group in the field as so
definsda the Suboosmittee shall be concerned with all aspects of
the subject matter.vohich relate to the national security (eogo re-
serveso production,, foreign trade,, coniumption and requirements,,
institutional factors,, ,,too)
3o The Petroleum Subcommittee shall cooperate with other
subcoanittees established by the SIC in covering any aspect of
petroleum which is of mutual interest to it sat other subcommittees
No-go pipe lines). Production and foreign trade in equipment for
the petroleum industry shall be included in the scope of the Petrol-
eum Subcomsittee?s substantive responsibilities until a Machinery.
Equipment Subcommittee is established,
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t3 '
9ectior, 'srieu:iture Subcommittee
SUBJJWT MATTER SCOPE
The 44 rk ?gture Subcommittee shall be concerned with
all o +xle vegp-: able w 3d animal products customarily regarded as
agrj,a..41tue?al i*ozwjdities, fibers. forest products,, and fish,,
PrF,d~aats of s..;he' t cod proUUSing industryo textilese and leather
sta.11 be included in 'tho scope of the Subeommittse?s subete-ntive
respoastbili`".ier~o
c0 While o agrioultural commodity is excluded in
principle from the $ubeonaittee?s subject atter coverage)
the Sub onmd;ttee shall not be held responsible for covering
ant urst rubbere
bo with the exception of foods, the Subcommittee shall
r:;t be held responsible for covering end-products of indus-
ries based on agric;u;itural commodities (eo o apparel. foot-
inark* finished wooij produotsp alcohol. etc0 Q
lr for the entirt agri,oulturnf"1 seater of an esonoaq/ as so
4~l,ef ter: o the 9eebcomm1ti ee shall be concerned with all aspects of
t.te sui' jeot msttesr whiolt relate to the national security (*ago
land ittlisationo prcdd3tiono foreign trader eonsuraption and rep
quire'I)3nts0 institutio,i1 factors, etco)*
The Agrieutthh.-al Subcommittee shall cooperate with other
su,xsoaitteos estabai,u.iod by the SIC in covering lay aspect or
agrio %tutrb ehieh is -,f mutual interest to it and other subeosa
mitteeso Pr,lduatioa snd foreign trade in agricultural equipment
sha:1 be. ino'l t ed in the scope of the Agz Iaulture Svbeommitteies
subrt:antive responsibilities until a WahinerycEquipment Suboows
mutes is errablishedb
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IAC NOMINATIONS TO THE SUBCOIIS.`.ITTE.g ON CITE 1ICALS
Department of State
Marion 'Northing
Chief, Industrial I:;ineral
Products Branch,
IFI
Department of the Air Force
Dr. Sidney Kuniansky
Chemicals and Atomic Energy
Section
Target Research
Department of the Navy ONI does not desire repre-
sentation at this time.
Department of the Army Major F. L. Schaf, Chemical Corps
Central Intelligence, Agency
Scientific Unit (Weapons and
Equipment) Technical Branch
25X1A9a
Chief, Chemicals Branch
25X1A9a
Chemicals Branch
THE FOLLOWING ARE SUGGESTED AS ASSOCIATE M IBE{tS
Department of the Army A representative of the
Chemical Corp - from
Research and .engineering
Branch (-suggest that Gen.
Bullene make the nomination)
Also should be a representa-
tive from Ordnance - from the
Propellants Branch of the
Industrial Division (suggest
that Ur. Jackman be considered)
Department of the Navy A representative from the
Office of Naval Research.
(Suggest that tear Admiral
John Snackenberg be con-
tacted re this nomination)
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SE M
Department of Agriculture
A representative of the Bureau
of Industrial and Agricultural
Chemistry. (Suggest that Dr.
Visitor Scott, Deputy Chief of
the Bureau, be nominated)
A representative of the ":ilitary
Requirements Branch of the
Chemicals Bureau (Suggest that
Mr. Klipstein be contacted on this
nomination)
Department of Commerce A representative of the Office
of Technical Sources (Suggest
that the Director, Ir. Green be
contacted on this nomination)
Suggest that Mr. McCullough of
the EIC consult with Ted Sweet
of DCA on this.
Munitions Board Suggest that Mr. Taggart of EIC
propose a nominee.
Research and Development Recommendations should be made
Board by Dr. Whitman
Office of Scientific 25X1A9a
Intelligence - CIA Chemicals Branch
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 25X9A6
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w o ... s. r w
DRAFT TERL OP REFER) 2 CE
NIB-56s Potential Insecurity of Foreign Areas of Direct Economic
4 1!R tsar Impo ance US Securi Y Interests
THE PROBTE
To determine the importance of various world areas in terms of their
direct economic and military contribution to the security interests of the
US, on the one hand, and to the Soviet bloc on the other, and to estimate
the vulnerability of such areas and the direct consequences of their loss
to US security interests.
SCOPE
The project should examine each area separately, and estimate the
strategic importance and vulnerability of the area in the event of global-
war and also in the absence of globall, ward Particular attentions hould
be directed to the possibility that particular resources will be out off
from the US, and to the possible timing of any such development.
QUESTIONS BEARING ON THE PROBLEM*
TQ Economics Importance (1)
Are the economic resources of the area of actual or potential strategic
importance to the US? To US allies? (The terse "allies" is intended to
include - particularly the NATO countries, West Gerrmy,, Australia and New
ORR 4 ETC Zealand, and Japan.) Are there any outstanding respects in which the
Agencies resources of the area are of importance to non-Comm st countries in
other areas that are not allies of the US but are within the orbit of GS
security interests? (This includes particular3y such countries'as Yugo--
sslavia, Spain., the countries of the Near and 71iddle East, Tndia, and Pakistan.)
Are the resources potentially or actually important to the Soviet bloc?
Each resource? should be discussed specifically, under the following headings:
It rs exile-KW-Mt contributions win be prepared in three successive
stages, shoftsn by the numbers after each major heading.
The areas to be studied in order of priority area (1) Far East (Japan,
Formosa, Thailand, Burma, Malaya,, Indonesia, Philippine Islands, Australia
and New Zealand); (2) India, Paek3stan, Ceylon (3) Near and Middle East;
(4) Africa (North Africa and Central and Samat Africa).,- and (5)Latin
1rmericaa~? Each of these studies gill be presented as separate national
estimate,
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A. Natural resources
1. Extent and availability
2, The degree to which the US depends on them (both for its
own direct rearmament effort and for anticipated US contributions
to allies).
3. The degree to which allies of the US depend on then.
4. Outstanding respects in which other non-Cosmmmist countries
depend on t hems,
5 q, The degree to 'vtich Soviet bloc. countries depend on them.
B, Agr .cultural
3,.5. (Same as above.)
C. Industrial resources
1-. (Same. as, above.)
Manpower for economic purposes (state whether skilled or unskilled)
1-5. (Same as above.)
1I. Milite Importance (1)
Are the military resources of the area of importance to the US? To
US allies? To the Soviet bloc?.
A. Armed forces: strength, composition, combat effectiveness,,.
Defense Depto degree of cooperation with US.
(Coordinated
by o..2) B. Manpower for military purposes: surplus, if any (state whether
trained or untrained),
C. Lilitary facilities:
1. Naval and air bases.
2. Communications and transport facilities.
3. Arsenals and depot facilities.
III. Factors Affecting Availability of These Resources (2)
Defense A. 11ilitarry vulnerability, with and without US aid on lines presently
indicated,
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SECURITY. JNf OR
OT B. Foreign policy orientation in the-East-West conflict.
OIR C. Political stability.
D. Government plans and policies that may affect availability of
resources, e.g., nationalization plans.
ORR . EIC Ea Economic vulnerability, including sabotage, strikes, preclusive
buying, degree of self-sufficiency. balance-of-payments situations
and any other factor likely to affect vulnerability. Indicate situation
in absence of US aid, and with US aid on lines presently indicated.
IV. Conclusion (3)
In the . light of the above t
ORR . EIC A. What is the over-all importance of the area to US security
Defense interests, in terms of direct economic and military contribution to
the US9 its allies, or other non-Communist countries, on the one hand,
and to the Soviet bloc on the other hand?
Defense, B. What.is the likelihood that the resources of the area may be
OIR1 ORR,` denied to the US, its allies, and other non-Cormunist countries
EIC '(1) in the event of global war; (2) in the absence of global war? If
there is a likelihood of loss,, how ?inssninent is it?
ORR . EIC C. TW'hat would be the consequences to US security interests of such
Defense loss, in terms of direct effect on the economic and military poten-
tial of the US, its allies, and other non-.Comm ist countries, on
the one hand, and of the Soviet bloc on the other hand?
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